AI-Generated Summary
Elon Musk, once Tesla’s greatest asset, is now seen by many as a potential liability. Tesla faces declining sales globally, with significant drops in Europe (e.g., Germany down 76%, France 45%) and Australia (71%). Musk’s political controversies, including his alignment with far-right parties and ties to Donald Trump, are alienating customers and investors. Protests have erupted in the U.S. and Europe, criticizing Musk’s anti-union stance and perceived betrayal of Tesla’s progressive mission. Tesla’s stock has plummeted 45% from its peak, and competitors like BYD are overtaking its market share. As Musk focuses on politics and other ventures, Tesla struggles with shrinking profits, brand turmoil, and growing competition. The company’s future hinges on whether Musk can refocus or if his actions will further erode Tesla’s dominance.
📜 Full Transcript
Elon Musk a name that’s been synonymous with groundbreaking Innovation and unmatched ambition but now many are asking could the very force that built Tesla be the one holding it back Tesla has hit unexpected turbulence faltering sales Rising protests and a shifting Public Image and as musk’s personal politics take Center Stage like never before his actions are creating ripples not just within Tesla but across the world so what’s really going on behind the is the Visionary still Tesla’s greatest asset or has he become its biggest liability and is Tesla in danger of losing its dominance let’s dive in let’s begin with Tesla’s sales crisis its sales trajectory is trending downward especially in Europe in Germany it’s down 76% in February in France it’s down 45% in Netherlands it has dropped dropped by 24% in Sweden sales are down by 42% in Norway and Denmark the sales have fallen by 48% moving on to Portugal sales are down by 53% and in Spain it’s dropped by 10% outside Europe Trends seem to be similar Tesla sales in Australia fell 71% in February compared with the same month last year while the automakers worldwide sales of cars produced in China were reportedly down 49% meanwhile us Tesla sales remain relatively stable but growth has slowed significantly in California Tesla registrations fell about 12% last year indicating mounting challenges for the automaker in the key US market and why is that so because of musk’s growing political controversies investors are now asking can Tesla reverse this downward trend When Donald Trump returned to the White House in January musk was appointed to head a brand new government agency the department of government efficiency his main task cutting regulations and streamlining government agencies however critics argue he’s using this position to benefit Tesla SpaceX and other companies the big question now is musk exploiting his government role for personal gain even some Tesla invest investors are starting to worry their concern musk’s growing political focus and his closed ties to president Trump may be distracting him from Tesla’s struggling business but the controversy isn’t just in the US in Europe where Tesla sales are already declining musk’s public support for far rght parties is pushing away more customers he has backed the farri afd party in Germany while he’s used his social media platform X to promote right-wing figures in Britain Italy and Romania additionally he has been accused of making a nail likee salute on stage my heart goes out to you why does this matter Europe is Tesla’s second largest market after the US and many Tesla buyers in Europe prioritize environmental policies his political alignments are clearly hurting Tesla’s brand and sales the backlash is growing protests have erupted across the US and Europe Tesla showrooms in US cities including New York paloalto St Louis Chicago Portland and Boston have seen demonstrations internationally protests have spread to Barcelona London and Lisbon but what are protesters arguing demonstrators believe musks alignment with Trump and far-right figures contradicts Tesla’s Mission they further believe his anti-union stance is hurting Tesla workers protesters also allegedly feel that Tesla’s brand no longer represents Progressive and clean energy values which has forced even its most loyal buyers to question their support for the EV maker I decided that I wanted to join the protest here and um send a message to Elon Musk in a way that I think is very um direct um we could adversely impact sales and inflict Financial pain on him similar to the financial pain that he’s inflicting on our veterans our seniors and a lot of less fortunate people in the US along with our federal workers the way to reach and harm someone is reactionary and danger ous as Elon Musk is to put Financial pressure on him and to do that you have to stop buying Tesla and sell your Tesla shares this demonstration is not just a question of Ethics but also to ensure that people have a minimum of Scruples and the protests are having an impact Tesla’s stock price has tumbled the Eevee Maker’s market value has reportedly Fallen by 45% since reaching a record high of $1.5 trillion in December 2024 this pushed musk’s new boss Trump to step in and save his employee in a public show of support the president announced he would buy a Tesla and I’m going to buy because number one it’s a great product as good as it gets and number two because this man has devoted his energy and his life to doing this and I think he’s been treated very unfairly by a very small group of people this helped the stock recover some losses but Tesla’s Str are far from over in addition to these controversies Tesla is also reportedly beginning to lose its market share Chinese EV maker byd has overtaken Tesla as the world’s largest ev seller Legacy automakers such as Volkswagen BMW stantis and Renault are also aggressively expanding EV production in Europe in North America Ford and General Motors are also pricing their EVS lower than that of Tesla this has forced Tesla to slash prices and offer Hefty discounts to stay competitive however now this is squeezing profits reports suggest Tesla’s fourth quarter profit margin from vehicle sales fell to 13.6% this has increased concerns for investors the more distracted musk gets with politics government roles and his other Ventures the harder it will become for Tesla to defend its Market position and value there no Tesla is at Crossroads once an Undisputed EV leader it now faces shrinking sales growing competition and a brand in turmoil and with Elon Musk diving deeper into politics investors are questioning where his Focus truly lies to counter its Global sales slump Tesla is turning to New Markets the largest one in the world after years of failed attempts it’s finally making a serious push into India leasing a flagship showroom in Mumbai with a second in Delhi already planned but can this pay off or will Tesla face the ever inquisitive mileage friendly Indian audience one thing is for certain given Indian Prime Minister Narendra modi’s close relations with US president Donald Trump musk’s political leanings may not Dent Tesla’s image in India with the India test ahead can musk still steer Tesla through its biggest challenge yet or will his own decisions drive away customers investors and Tesla’s future in the end the biggest risk to Tesla might not be the competition but Elon Musk himself [Music] [Music]